Informal Ad - Absence of Name on Sign

Dear Shannon: I’m the listing broker at a busy, medium-sized brokerage focused on residential property. One of our sales associates wanted to sell their vacant lot, so to let people passing by know it was available, we put up a simple sign that read, “For Sale – Call XXX-555-5000.” It was easier to put my sales associate’s home number on the sign, so they could better field inquiries from potential buyers. A potential buyer called the number, and my sales associate handled the call. But then we were blindsided when that potential buyer filed an ethics complaint against us, alleging a violation of Article 12. At the professional standards hearing, I explained that the sign was not a formal advertisement like an online ad, business card or billboard, which I understood Article 12 applied to. I’m unclear how we were found in violation of the Code of Ethics in this case. – Informal Ad

Informal Ad: Thanks for reaching out for education on this topic. Let’s take a look at Article 12, as it relates to your situation.

Not only does Article 12 require that you and your sales associate identify yourselves as real estate professionals in your real estate advertising, but also, per SOP 12-5, you were required to include the name of your firm. SOPs help interpret the Articles. Because the name of your firm was not included in your ad sign for your sales associate’s vacant’ land, this too would have been an issue under Article 12. Note again there is no distinction made between formal or informal advertisements.and policies that researchers say help draw households and employers.